How to Compare Cheap Health Insurance

Look at what you want, as well as what you can afford

Choosing health insurance based solely on price can be a trap for young players. Cheap doesn’t mean it’s bad and it doesn’t mean it’s the best option for you. When you compare cheap health insurance, it is important to balance the policy cost against how much you can claim and what treatments you think you will need. In a nutshell, to compare cheap health insurance, look for the cover that is right for you, your lifestyle and your budget, not just your budget alone.

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* The price shown is per week and applies to a {LIFESTAGE} living in VIC with a $500 excess. It excludes LHC loading and includes a Base Tier Government Rebate

After they compare cheap health insurance, it is not uncommon for Australians to opt for the cheapest policy but end up paying more over the year. Often, a slightly cheaper policy may have lower claim benefits, meaning when you see a dentist or get a new pair of glasses your out-of-pocket expense can be greater overall. It is worth understanding that the government could subsidise your health insurance policies. The Australian Government Private Health Insurance Rebate offers rebates of up to around 30% depending on your taxable income and your age. On top of this, there could be opportunities to minimise your tax if you have a taxable income over $90,000 and you take out a relevant hospital cover. Taking out hospital cover before you turn 31 could have other financial benefits. The best way to get the right private health insurance at the right cost is to compare cheap health insurance of all types and work out which one is right for you. Know exactly what your policy offers and check the fine print thoroughly to determine your best options. It may be to your advantage to pay higher costs up front get a higher benefit when you make a claim in the future, have cover for more services or enjoy discounts and special offers.

Know the difference when you compare health insurance

Another trap for young players when they decide to compare health insurance is to not get confused between hospital and extras covers. Hospital insurance could cover you if you need hospital treatment, either for accidents and emergencies or elective surgery. But there can be a few little tricks of the trade in the fine print to be aware of. The first is to think about whether you want to share a room. Choosing the cheapest hospital cover you come across when you compare cheap health insurance could see you treated in a public hospital as a private patient in a shared room. If that doesn’t bother you, and you would like a little company while stuck in recovery all day, then our Basic Hospital cover could be the one for you.  

Another important thing to remember when you compare cheap health insurance is to try and work out what procedures you would like to be covered for in the event of accident or illness. Some hospital covers can exclude treatments and procedures out, to keep premiums low. For example, Basic Hospital excludes benefits for weight-loss surgery. If you’re not too much overweight, and don’t intend on being so anytime soon, choosing a cover that excludes this type of service could reduce your annual premium. If you anticipate needing treatments that are not covered in the basic covers, you should consider spending a bit more to ensure you get coverage for what you need. Our other hospital covers – Better and Best – may cost a little more, but they could provide more comprehensive coverage. We pride ourselves on affordable, simple cover, and when you compare cheap health insurance you can find out how important that can be.

Understand how extras cover can benefit you

Extras cover provides benefits for treatments and services you usually don’t go to hospital for, like dental, physio, chiro and optical. When you compare cheap health insurance you will probably notice how many extras options there are. And that is great news for you. However, it can be tough to work out which one is best. Like hospital cover, the cheapest might not be the one that suits your lifestyle or your budget overall. The first thing to think about is how often do you, or will you, use the services on offer. Do you see a dentist twice a year? Do you get a new pair of glasses or prescription sunglasses annually? Are you likely to require physio over the next 12 months? Many Australians will answer ‘yes’ to at least one of these questions, making extras cover an attractive option. Another thing to consider before you start to compare cheap health insurance is how much you want to be able to claim back. We have two extras covers – Lots and Some – and both offer benefits of 50% and 80%.

As a general rule, the higher the level of cover, the more you are likely to be able to claim back. But benefits are much more than that, and that’s because of annual limits. Annual limits are caps on how much you can claim back in a calendar year, for a specific treatment. For example, if you are likely to need a lot of dental work in the near future, you should find a more comprehensive extras cover that has a higher annual limit. If you think you will need a lot of dental visits, then look at benefits of 50%. While you will get less back per treatment, it can take you longer to reach your annual limit. If you think you will only need dental once or twice a year, and it might be for an expensive treatment, then benefits of 80% might be the best way to go.

It  is important when you compare cheap health insurance to consider your needs now, and for the near future. If you are single with no plans of having children, some policies will suit you better than others. Similarly, mature couples with no plans of having additional children will see no need for pregnancy or IVF services. However, at this age coverage for more common conditions (such as hip replacements or cataracts) might be a higher consideration. If your budget can stretch to having a medium or higher level of cover, then that can give you the peace of mind to know that whatever happens, you can be covered. The final thing to remember is that you can bundle together hospital and extras covers. This can give you what you need and want in one package, and can simplify things even further.

Skip 2 and 6 month waits on extras when joining on combined hospital and extras cover by September 30*

Get a quote * 12 month waits, annual and sub limits apply. Applies to new members (if you have been a Frank Health Insurance member in the last 12 months, sorry you don’t qualify). Offer ends 30 September, 2017.